Question

5. Micheal has $750 to deposit into no different accounts.

-Micheal will deposit $400 into Account I, which ears 4.5% annual simple interest
-Micheal will deposit $250 into Account II, which eams 2 % annual simple interest
Micheal will not make any additional deposits or withdrawals. What will be the total balance of these two
accounts at the end of 5 years?

Answer 1

I=prt

I= 400×(4.5/100)×5

I=$90

total 400+90=$490

I=prt

I=250×(2/100)×5

I=$25

total 250+25=$275